The term Improvement, as it is used on the tax statements, refers to any dwelling, building, manufactured structure, or physical addition to the land. The term "Improvement" does not indicate there have been recent changes to a property.

Property is valued as of the assessment date of January 1, of each year. Your tax statement sent to you in mid October shows a value that was set 10 months earlier. In a declining market this value may appear high compared with recent market activity and economic news.

There are two values stated on your tax statement. One is the real market value; the other is the assessed value. The real market value is what the Assessor believed your property would sell for if it sold on the open market on January 1. The assessed value is used to compute your taxes. The assessed value is the lower of the real market value or the maximum assessed value. The maximum assessed value was established by Measure 50, passed by voters in 1997. Maximum assessed value for the 1997-98 tax year (the first year the measure was implemented), was the 1995 -96 value less 10 percent. The maximum assessed value will grow by three percent each year provided it is lower than the real market value. There are no limitations on the rate that the real market value changes. It will rise and fall with the market.

If your property did not exist in 1997, the maximum assessed value was established by the use of a change property ratio. The purpose of this ratio is to bring the maximum assessed value of new or changed property to the same general assessment level as unchanged property. Prior to the recent economic downturn, and since the implementation of Measure 50, real market values have generally appreciated greater than the maximum assessed value. By and large, this has resulted in a gap between the maximum assessed value and real market value.

For example, in Marion County the January 1, 2011, approximate assessed value for all residential property was 84% of real market value. This gap in the values allows the assessed value to annually increase, even when the real market value decreases. This can result in an increase in taxes, even in times of declining markets. If the market drops to a point that the real market value of a property is less than its maximum assessed value, there may be a reduction in taxes.

Another factor to consider in the overall tax you pay is the tax rate. Generally speaking, the tax rate is applied to the assessed value to determine a property’s tax. The location of your property will determine what district rates make up your overall tax rate. The tax rates may go up or down from year to year depending on voter approved bonds and/or levies. It is conceivable that your taxes may increase even though your assessed value remains unchanged; or that the taxes may go up more than 3% when the assessed value increased 3%.

If during any tax year, any real or personal property is destroyed or damaged by fire of "act of God," the owner or purchaser under a recorded instrument of sale in the case of real peroperty, or the person assessed, person in possession or owner in the case of personal property, may apply to the tax collector for proration of the taxes imposed on the property for the tax year.

Application for proration of taxes shall be made no later than the end of the tax year or 60 days after the date the property was destroyed or damaged, whichever is later.

For property that is damaged, the tax collector shall collect only one-twelfth of the taxes imposed on the property for the tax year, for each month or fraction of a month that preceded the month during which the property was damaged.

For the month in which the property was damaged, and for each month of the tax year thereafter in which the property remains damaged, the tax collector shall collect that percentage of one-twelfth of the taxes imposed on the property that the real market value or the assessed value of the property after the damage (whichever is less) bears to the assessed value of the property before the damage.

For property that is totally destroyed, the tax collector shall collect only one-twelfth of the taxes imposed on the property for the tax year, for each month or fraction of a month that the property was in existence during the tax year. The tax collector shall cancel the remainder of the taxes imposed on the property for the tax year.

The portion of the property that is damaged and is subsequently repaired is considered new property or new improvements to property under ORS 308.153 (New property and new improvements to property) for the assessment year in which the repairs or replacements are first taken into account.

Residential and rural properties are appraised under a mass appraisal system that conforms to State Laws and Administrative Rules. Values based on market sales are established for each property, as well as reduced Measure 50 (M50) value. That value called Maximum Assessed Value (MAV) is the 1995-96 tax year value less 10%. That value may not increase more than 3% each year.

Residential and rural properties are appraised using a market related cost approach. Sales of properties within a given market area, or an area of similar properties, are compiled and analyzed to develop the data used to appraise all similar properties within that given area.

Once these values are established, they are monitored yearly using sales that occur within these areas by comparing those sales prices to their Real Market Value (RMV). If the average property sale price is higher than the RMV, the properties in that area are adjusted to reflect the change in the market.

Construction on your “new” home probably began after January 1. Because January 1 is the assessment date, you are taxed only on property which existed as of January 1. The portion of your house which is complete after January 1 will be assessed for the next tax year and will appear on your next tax statement.

If the Assessor’s RMV for the new addition is less than $10,000, the value will be added to your RMV only. Under the M50 guidelines you will not be assessed or taxed for additions under $10,000 unless they fall under the 5-year $25,000 category.

Yes. All in-ground gunite, fiberglass and vinyl lined pools are taxable. Check with the proper building inspection office to determine proper permits required, if any. All outdoor pools receive a 50% seasonal use discount. Above ground pools are not taxable, but extensive wood decking or concrete may be.

There are a variety of reasons for the differences in taxes and they vary from property to property. There may be exemptions or special assessments involved. Value differences may also result due to quality of construction, location, building size, number of outbuildings, zoning, prior appeals, etc…

Yes. Appraiser field inspections are usually made between January 1 and June 30. Reviews may be requested during this time but values will reflect the condition of the property as of the January 1 assessment date.

ORS 308.204 allows the Assessor to make changes to reduce values in the fall after values have been certified. Receipt of the fall tax statement is typically why a property owner requests a value review. Before an action can be taken, a request for review form needs to be filed with the Assessor explaining the reason for the request for review. Review criteria and the request for review form can be obtained by visiting the forms section of the website. If the property owner is not satisfied with the Assessor’s recommendation, an appeal may be filed with the Board of Property Tax Appeals (BoPTA) by December 31.

First, our assessments are based upon a “mass” appraisal system; one sale does not set the market. Second, conditions of the sale and whether it was an arms length transaction are also factors to be considered.

The Assessor's Office sends verification letters to any person who buys or sells real property in Marion County. All sales of real property are analyzed by our data analysts, for use in an annual study conducted by our office called the ratio study. The ratio study is a statistical study required by the Oregon Department of Revenue to aide in accurately determining the Real Market Value of all properties here in Marion County.